Ripple is a crypto asset that is among the most promising of the moment. Compared to the leading digital currency, Bitcoin, Ripple has a few advantages, most importantly the speed of transactions. In this article, you will discover more about this digital currency.
In 2018, Ripple came in second place among cryptocurrencies after Bitcoin. This crypto currency continues to rise in value and to attract the interest of several investors and punters. Already in early 2021, this virtual currency is exploding and is valued at $10 billion. Ripple is the talk of the town and for some investors is a credible alternative to Bitcoin.
It is in fact the company that deals with transactions from XRP that goes by the name of Ripple. In common parlance, the cryptocurrency is also called Ripple. The company Ripple Pay had the ambition to offer the possibility to create local currencies according to communities. So the original idea was not to offer a cryptocurrency. The creation of bitcoin and its early successes would later lead to the birth of Ripple Labs, a company that would later issue a crypto-currency close to bitcoin and promoting international money transfers.
One of the main differences between Ripple and Bitcoin is that Bitcoin uses public blockchain technology, whereas Ripple operates on a corporate blockchain and involves several banks and financial institutions. The operating principle of this blockchain is comparable to the "hawala", very well known in the Arab banking world. You make your transactions via a preferred Ripple gateway. It is therefore the company that holds almost all the validation nodes. The issuing of Bitcoin is instead done by a decentralised network.
Ripple is a crypto currency characterised by its quite high transaction speed. This speed is estimated to be around 1500 transactions per second. This puts it ahead of Bitcoin, which has a relatively smaller transaction speed and higher transaction fees. Betting in Ripple would therefore bring an important revolution in the field of sports betting on foreign sites, as it is known that a virtual money transaction from one country to another can take up to two days.
If you use Bitcoin for your international transactions, you have to wait on average ten minutes for processing. In contrast, your XRP transactions are confirmed within 3 seconds. Another advantage of Ripple is that it has several banking partners to its credit. The more banking partners, the better for the markets. In addition, the company keeps a large share of Ripple tokens, which currently seem to be much more affordable than bitcoin. Of the 100 billion tokens in existence, only 45 are reportedly in circulation.
The fact that Ripple's transaction validation nodes are owned by the company itself could nevertheless be seen as a weakness by some economists since it would also mean a higher level of risk for the punter than in the case of bitcoin.
